City&FinanceBriefing 42 Friday, 26 June 2009 London Lite Inbrief TV watchdog wages all-out war on SkyWAR was declared today in the British pay- TV market as regulator Ofcom said it will break up Skys dominance. Sky responded by saying it will fight Ofcom every inch of the way through every court in the land. In the biggest challenge to Sky since it gained supremacy in subscription television in the UK nearly two decades ago, Ofcom said it is not only going to force Sky to sell on its sports and movies, it will intervene to prevent the company stitching up the next auction of Premier League football rights. Ofcom said it believes Skys parent company British Sky Broadcasting is making super- profits from buying up sports rights and the output of Hollywood movie studios. But BSkyB said: We disagree fundamen- tally with Ofcoms approach, analysis and conclusions. We will use all available legal avenues to challenge this unwarranted intervention. Ofcom today published its proposed regu- lated prices to ensure BSkyB sells on content to the likes of Virgin Media or BT at a fair price. The regulator also plans to stop Sky from cornering the market in films for the subscription video on-demand market. BY ROBERT LEA Volkswagen on road to Suzuki small-cars deal Volkswagen was today considering a tie-up with suzuki to boost its presence in ultra-small cars. Co-operation with suzuki, which dominates the mini- vehicle market in Japan could produce a new model for Vw below its upcoming new small Family range of cars. Vw is looking to secure the link by taking a 10% stake in suzuki. The two carmakers have weathered the global downturn better than many rivals because of their heavy presence in emerging markets such as China and India. I think it is certainly a possibility, said Mitsuru kurokawa, an analyst at IHs global Insight. It could help suzuki pick up its pace in the hybrid and electric vehicle field as those segments look set to grow faster than expected now. Meanwhile, Vw could gain a partner in asia that it always wanted and develop smaller cars as consumers downshift more and more from bigger cars. suzuki has fared better than many of its rivals thanks to the relatively steady 660cc micro car segment in Japan and its dominance in India, its biggest market. But overall demand for cars has plummeted in the recession particularly in key developed markets such as the Us, Japan and europe. It has plunged carmakers such as Ford, general Motors and Chrysler into crisis and analysts reckon consumers will favour smaller, greener cars in the future as opposed to big, gas-guzzling models. Qantas blow for Boeing BOeIngS new Dreamliner aeroplane project suffered another blow today as Qantas cancelled and deferred orders for 30 new planes. The decision comes days after Boeing announced a fifth delay in the launch of the aircraft. Although Qantas denied its decision was linked to the delay, analysts said there may be more cancellations from other airlines. Boeing is also suffering from sweeping cutbacks in US defence spending for military aircraft. Australia Dollars 1.9435 Canada Dollars 1.8029 Denmark Kroner 8.3189 Eurozone Euro 1.1210 Hong Kong Dollars 12.0600 Japan Yen 150.4800 New Zealand Dollars 2.3792 South Africa Rand 12.3200 Sweden Kronor 12.3600 Switzerland Francs 1.7106 UAE Dirham 5.6523 United States Dollars 1.5661 TouriST raTeS UP 26.07 at 4278.64 fTSe 100 dow joneS nikkei -$ UP 172.54 at 8472.40 UP 81.31 at 9877.39 UP 1.73c at $1.6463 >>for all the latest City share prices, call 0905 817 1694* or visit * Calls cost 75p/min from a BT landline & last approx 1 min per quote. not all stocks are available Gatwick boost for Baa profits l Airports owner BAA today said it expects to make an extra 73 million in profit this year because it has yet to sell Gatwick. the firm, owned by spains Ferrovial, which also owns Heathrow and stansted, was ordered by the authorities to sell Gatwick to aid competition. BAA said it now forecasts profits of 1.022 billion this year. Voice of soccer: commentator Andy Gray is part of the Sky team Chairman hunt over for Psion l MoBile computer company psion today ended its eight-month search for a new chairman, appointing John Hawkins to succeed founder David potter. Hawkins, who has been on the board since May 2002, takes over when potter steps down in september. i will be 66 next week and it is now time to hand over the company, said potter. Pidgley hands over at Berkeley l tony piDGley today surrendered the day-to-day running of his london housebuilder Berkeley Group as he stepped up from managing director to chairman. the 62-year-old moved upstairs after 33 years in charge of the firm he set up in Weybridge in 1976. He is succeeded by rob perrins, the finance director. uniq serves up takeover deal l CHilleD foods group Uniq today announced details of the sale of its French business after speculation of a deal sent the shares rocketing. Uniq said it had received a binding offer of 51 million for the Marie division from French poultry and delicatessen business Groupe lDC. the buyer would also take on 11 million of Maries debt. index.html2.html3.html4.html5.html6.html7.html8.html9.html10.html11.html12.html13.html14.html15.html16.html17.html18.html19.html20.html21.html22.html23.html24.html25.html26.html27.html28.html29.html30.html31.html32.html33.html34.html35.html36.html37.html38.html39.html40.html41.html42.html43.html44.html45.html46.html47.html48.html49.html50.html51.html